Selling a business means managing legal and financial risk. Warranty & Indemnity (W&I) insurance is now a common way for sellers to keep more control over that risk and achieve a cleaner exit.

In the latest UK Private Company Director, Ross Montgomery and Avi Cohen of Mayer Brown explain how W&I cover can protect sellers from future claims, reduce the need for holdbacks or escrow, and speed up the flow of proceeds at completion. They also set out what these policies do not cover, and why aligning legal and insurance strategy from the outset matters.

With more insurer competition and lower premiums than in recent years, W&I insurance is now within reach for many owner-managed businesses. Used alongside proportionate due diligence and good legal preparation, it can help manage risk and protect value through the transaction.

Read the full article in the October edition of UK Private Company Director here.